The wastefulness of excess capacity is not considered totally bad by all economists because
A) advertisers make more income that is circulated to the rest of the economy.
B) excess capacity may allow for a greater diversity of products than available under other forms of competition.
C) the products would not be produced otherwise.
D) the monopolistically competitive firm allocated resources in a more efficient way than other market structure firms.
Correct Answer:
Verified
Q1: Which one of these firms would be
Q2: Which statement is true about the monopolistic
Q4: Which statement is true?
A)The typical monopolistic competitor
Q5: Which statement is true?
A)The monopolistic competitor always
Q6: Which statement is false?
A)Price discrimination can be
Q7: A monopolistically competitive industry has
A)many firms producing
Q8: Which of the following combinations of characteristics
Q9: The key aspect to product differentiation is
A)physical
Q10: Price discrimination means
A)charging different prices for identical
Q11: Monopolistic competition may lead to each of
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